Cheniere Energy, Inc. (LNG) — payout ratio, three ways
Fiscal year ending 2025-12-31 · sector Utilities · payout ratios computed from SEC filings, not taken from a data vendor.
| Basis | Payout | Why it differs |
|---|---|---|
| GAAP earnings | 8.5% | The basis that applies. A regulated utility earns an allowed return on its rate base, and the dividend is set against that. |
| Operating cash flow | 8.1% | Closer to meaningful than free cash flow, but still before the capital programme the regulator expects the company to run. |
| Free cash flow | 18.3% | What is left after the capital programme. For a regulated utility that programme is growth into the rate base, recovered through rates and funded by debt and equity issuance by design — so this figure swings with the capex cycle and frequently goes negative. It says little about whether the dividend is affordable. |
Spread between highest and lowest: 10 percentage points. Same filings, different denominators.
Coverage rating 73 / 100 — Adequate. ? Peer standing 48/50Direction 25/30Stability 0/20
GAAP earnings payout, last 4 years
| Fiscal year | Payout |
|---|---|
| 2025-12-31 | 8.5% |
| 2024-12-31 | 12.7% |
| 2023-12-31 | 4.0% |
| 2022-12-31 | 24.6% |
Among the 57 utilities companies here, 96% pay out a larger share on this basis — this is comfortable for the sector.
The arithmetic
- GAAP earnings — dividends declared per share $2.05 ÷ diluted EPS $24.13
- Operating cash flow — dividends paid $451.0m ÷ operating cash flow $5,539.0m
- Free cash flow — dividends paid $451.0m ÷ (operating cash flow $5,539.0m − capex $3,078.0m)
Where the figures came from
- 10-K filed 2026-02-26 · accession
0000003570-26-000005
Every one is public at sec.gov and free to check. That is the point — you should not have to take my word for any of it.
Caveats on this company
- DPS derived from dividends paid ($2.05); no per-share tag filed
Computed by an open pipeline reading SEC XBRL directly. If any number here looks wrong to you, tell me — that is more useful to me than agreement.